South Korea: Lottery for “Another Life” – Tio Su-ki Basic Income Pilot for and by young people

South Korea: Lottery for “Another Life” – Tio Su-ki Basic Income Pilot for and by young people

 

Daejeon, South Korea. Started in October 2016 a group of young people from Daejeon in South Korea initiated the ‘Tio Su-Ki project’, which was presented by the Basic Income Korea Network (BIKN) at this year’s Universal Basic Income (UBI) summit in Lisbon. The pilot was realized through donations by over 200 participants, out of which 3 winners were selected in a lottery-style competition. The winners received 500,000 won (around 370 €) per month for six months – and all three reported better quality of life and stronger focus on their life goals and interests. One of the winners explained the experience: ‘People who eat bananas think differently from those who never do and know more than those without experiencing bananas. I think that the basic income experiment gave me a lot of money, so I can imagine another life.’

Inspired by the presentation of “My Basic Income” at Seoul’s 2016 UBI summit, Tio Su-Ki aimed at raising awareness for the societal impacts of UBI in a country, which still has the second longest average working hours in the OECD. It responded specifically to a situation that sees many young South Koreans with huge student loans, precarious part-time jobs and a general climate of weak labor unions and a tumultuous political situation. As the organizers of the pilot observed, many South Koreans still perceive the idea of UBI to be a direct contradiction with national labor ethics and perceptions, which are focused around ‘honest work’ as the legitimacy for wages. The project is part of a wider movement in South Korea, which is gathering support for multiple pilot studies with varying designs in other cities including Seoul, Seongnam and the Hankyoreh 21 project.

The project title encapsulates the ambition to give spare time to fast-paced, city lives. Participants were asked to fill in a questionnaire on Kakaotalk, a Korean social network, after which three winners were selected randomly, all of them in their twenties and early thirties. Promotion for the project included a Basic Income monopoly game and events.The gamified design of the pilot was a major contributing factor for building curiosity and interest in the project.

More information at:

Scott Douglas Jacobsen, “Seoul National University Economy professor Lee Keun says South Korea needs BI”, Basic Income News, January 21st, 2017

Karl Widerquist, “SOUTH KOREA: Basic Income Coalition created with aim to support candidates in elections”, Basic Income News, May 27th, 2010

Correction of Article “World Economic Forum recognizes Madhya Pradesh basic income pilot studies”

Correction of Article “World Economic Forum recognizes Madhya Pradesh basic income pilot studies”

Notice of correction to and retraction of the article “World Economic Forum recognizes Madhya Pradesh basic income pilot studies”

On September 9, Basic Income News published an article with the headline “World Economic Forum recognizes Madhya Pradesh basic income pilot studies”, which announced that the World Economic Forum (WEF) had bestowed a “best practice in governance award” to Sarath Davala and the India Network for Basic Income (INBI) for their submission of a case study of basic income in Madhya Pradesh, India.

The submission and award are part of WEF’s New Vision for Development competition, an international competition seeking new global approaches to inclusive growth.

This announcement was made in error. In actuality, the Madhya Pradesh case study was deemed eligible for an award in the “best practice in governance” category. However, the case study is one of multiple applications eligible for the award, and WEF has not yet selected the recipient of the award.

The original article has been retracted.

 

Additional updates, information and background:

The WEF invited Dr. Sarath Davala, an independent sociologist and coordinator of INBI, to join other applicants to the New Vision for Development competition at a Sustainable Development Impact Summit held in New York, New York, from September 18 to 19.

The case study on the Madhya Pradesh basic income pilot, of which Davala was the lead author, was also selected for inclusion on WEF’s Inclusive Growth and Development Platform, at interactive online platform to be launched publicly in early 2018.

Regarding the significance of the New Vision for Development competition, Davala states,

The point is not whether one case-study gets an award or one person gets it. The main point is that the idea of Unconditional and Universal Basic Income is being recognised and endorsed by the mainstream global institutions as an idea that can potentially answer some of the most troubling questions of our times, such as chronic poverty, future of employment, meaning of work, and so on. This is truly a big victory for the idea itself.

His submission detailed the pilot study of basic income conducted in the Indian state of Madhya Pradesh from June 2011 to November 2012, co-sponsored by UNICEF and the Self Employed Women’s Association (SEWA). During this 18 month experiment, 6,000 individuals in nine villages received monthly unconditional cash transfers equivalent to about one quarter of the median income in the state. The transfers were delivered to all adults in each village in the pilot, with smaller amounts for every child. Similar villages were used as controls. It was found that, relative to the residents of control villages, individuals receiving the cash transfers were seen to be significantly more likely to obtain adequate nutrition, receive regular medical treatment, invest in improved energy and sanitation, start new businesses, and send their children to school, among other improvements. (The study and its results are described at length in Basic Income: A Transformative Policy for India, authored by Davala, SEWA’s Renana Jhabvala SEWA, Soumya Kapoor of the World Bank, and BIEN cofounder Guy Standing.)

Davala and other researchers have recently completed a legacy study investigating the long-term impacts of the Madhya Pradesh pilot, and Arvind Subramanian, Chief Economic Adviser to the Government of India consulted the experiment in preparing a chapter on universal basic income for the 2017 Economic Survey of India. In this document, Subramanian cites evidence from Madhya Pradesh to support a rebuttal of claim that unconditional cash transfers would lead to a reduction in the labor supply, stating that, on the contrary, “the study shows that people become more productive when they get a basic income”.

 

In its Inclusive Growth and Development Report (2017), the WEF states that basic income alone cannot adequately substitute for what it considers the “five crucial institutional underpinnings of a well-functioning labor market” (labor-market policies, equal access to quality education, gender parity, non-standard work benefits and protections, and effective school-to-work transition); however, its authors remark that the policy may “form part of an appropriate policy response” or “serve as a useful complement” to other strategies.

The World Economic Forum does not endorse basic income but encourages the sharing and discussion of a wide range of approaches to inclusive and sustainable growth.


Post reviewed for content by the World Economic Forum and copyedited by Heidi Karow

Photo: Valleys of Madhya Pradesh, India CC BY 2.0 Rajarshi MITRA

PORTUGAL: PAN political party defends a Basic Income pilot project in Cascais

 

The Portuguese political party PAN (People, Animals, Nature), defends a Basic Income pilot program in Cascais, a town just outside of Lisbon. The proposal is put forward by the PAN Cascais candidate, Francisco Guerreiro in the context of the local elections happening in Portugal on October 1st. We spoke to Francisco Guerreiro about the proposal and he said: “Cascais in a town that has a high budget of around 160 million € and with a diverse population at a social, economic and cultural level.” PAN defends that Cascais would be a great location for the implementation of a pilot program.

 

Francisco Guerreiro, PAN candidate for Cascais

Francisco Guerreiro’s proposal is to create a workgroup to discuss a pilot program in the municipality of Cascais that would be diverse, including, not only politicians but also academics and scientists. PAN does suggest however that the pilot should be constructed in a way that is as encompassing as possible, including several social strata and not only applicable to the unemployed or to people with low income. The workgroup that PAN proposes would also analyze the financial viability and funding of the pilot program, as well as the sample and the length of the program, exploring national and international sources of funding. Cascais is a municipality that besides having residents of different social and economic status, also has both urban and rural settings, making it an ideal experimental ground for a Basic Income pilot.

 

PAN is the only Portuguese political party so far to officially include Basic Income in their program and has a longstanding history of defending the idea. However, this is the first time that there is a specific proposal to implement a pilot program by a local candidate. The political party PAN is also a partner of the 17th BIEN Congress happening in Lisbon, September 25-27 and of Basic Income Week, September 25-30.

 

More information at:

[In Portuguese]

Sofia Rodrigues, “PAN vai propor estudo sobre atribuição do Rendimento Básico Incondicional [Political party PAN is going to propose a study on the implementation of a basic income]”, Público, 15th February, 2016

Maria João Lopes, “PAN defende projecto-piloto de rendimento básico em Cascais [Political party PAN defends a basic income pilot project in Cascais]”, Público, 27th August, 2017

[In English]

André Coelho, “Portugal: Presidency candidate Manuela Gonzaga supports basic income”, Basic Income News, 19th October, 2015

André Coelho, “PORTUGAL: Basic income conference in Portugal paves the way for a wide public discussion”, Basic Income News, 24th February, 2016

BRITISH COLUMBIA, CANADA: New agreement between Democrats and Greens in British Columbia looks forward to a basic income pilot

BRITISH COLUMBIA, CANADA: New agreement between Democrats and Greens in British Columbia looks forward to a basic income pilot

John Horgan and Andrew Weaver. Credit to: British Columbia New Democratic Party.

 

Since the 30th of May 2017 that British Columbia (BC) political parties NDP (New Democratic Party) and Greens have an agreement signed to collaborate in the present regional legislature, which can be read in the NDP webpage. This comes after an historical regional election process which saw the end of the Liberal Party majority in BC, held since 2001.

This event is also relevant because the unprecedented agreement refers basic income as part of its agenda. At the end of its Section 3 – Policy Initiatives, under the subtitle “Making life more affordable”, it can be read: “One aspect of the poverty reduction strategy is to design and implement a basic income pilot to test weather giving people a basic income is an effective way to reduce poverty, improve health, housing and employment.”

Other issues covered by the agreement are the maintenance and improvement of public services (mainly health and education), rolling out of environmental protection policies such as expanding the polluting emissions tax and measures to set better democratic mechanisms in BC. It becomes clear from this general political party agreement that basic income is a part of a broad set of policies which aim at improving British Columbians lives, while protecting the environment and established public services.

 

More information at:

Rob Shaw, “NDP, Greens take aim at Kinder Morgan, Site C in power-sharing deal”, The Province, May 29th 2017

GERMANY: Schleswig-Holstein coalition shows interest in exploring basic income (but no pilot yet)

The end of June saw the proliferation of rumors that a basic income experiment would be launched in the German state of Schleswig-Holstein. While such rumors were inaccurate, a political coalition in the state has called to further research basic income.

The June 25th edition of the newspaper Flensburger Tageblatt, the daily newspaper of the city of Flensburg in Schleswig-Holstein, heralded the purported plans of the state government to introduce an experiment of basic income. The paper quoted Robert Habeck, Green Party leader and future minister of environment, as saying that “we want to test a basic income from the government side and propose Schleswig-Holstein as a model region.” It further claimed that a coalition of the Christian Democratic Union (CDU), Free Democratic Party (FDP), and Green Party backed the demand for a test of a basic income.  

The article fueled rumors, widely disseminated through basic income social media channels, that Schleswig-Holstein is preparing to launch a basic income experiment.  

This announcement, however, was premature. Despite Habeck’s support, a basic income experiment Schleswig-Holstein remains at best a remote future possibility. In fact, the coalition agreement signed in between the CDU, FDP, and Greens does not call for an experiment or pilot study of basic income. Instead, calls only for the establishment of a “laboratory for the future” (“Zukunftslabor”) to research and assess new forms of social protection, a basic income being one.

Arguably, the coalition agreement’s proposed “laboratory for the future” does signal progress toward the investigation of a basic income in Schleswig-Holstein. However, the reality is far more modest than originally rumored.

 

No German UBI Experiments So Far..

Shortly prior to the first rumors of a basic income pilot in Schleswig-Holstein, the State Legislature of Hawai’i passed a bill that created a working group to study a universal basic income among other possible policies to provide the state’s residents with economic security. This generated a spate of media attention for basic income — but, as usual, not all reports were entirely accurate. Some news reports on the legislation, identified Germany (in addition to Finland and, soon, Canada) as a country that is already “testing” a basic income.

The claim may have originated in an article published in Business Insider and Futurism, which cites an article about the startup Mein Grundeinkommen as its source. This is misleading: Mein Grundeinkommen is a private effort, not a governmental one, and it merely awards year-long “basic incomes” of €1000 per month to individuals chosen by lottery. The startup’s work benefits randomly selected individuals while increasing awareness of basic income — and, in these aims, the project been highly successful. Mein Grundeinkommen has distributed year-long “basic incomes” to 94 individuals (and counting), and each drawing continues to generate media publicity. However, although anecdotes from individuals are sometimes presented as evidence regarding the effects of a basic income, the project should not be confused for an experiment.

Currently, no basic income experiment is being conducted in Germany — and, so far, no developments in Schleswig-Holstein have changed this fact.

 

More information on the alleged Schleswig-Holstein pilot:

Lea Hampel, “Jamaika-Koalition flirtet mit dem Grundeinkommen,” Süddeutsche Zeitung, June 27, 2017 (in German).

North German state weighs up introducing unconditional basic income,” The Local, June 27, 2017.

Ronald Heinrich, “Grundeinkommen in Schleswig-Holstein? – Reality Check,” Huffpost, June 30, 2017 (in German).


Photo (Kiel, Schleswig-Holstein) CC BY-SA 2.0 Rüdiger Stehn